Has globalization improved urban poverty of the U.S.?: Historical pattern analysis on U.S. cities
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The globalization effect on the lives of the urban poor has been examined in terms of income inequality and residential segregation. Globalization is generally considered as a powerful force to reduce poverty because more integrated economies tend to grow faster, spreading the economic gains widely over the countries involved. Unfortunately, the attitude of local and national governments towards the urban poor has become increasingly intolerant. Cities exposed to competitive condition of a globalized, open economy have been experiencing a dramatically increased urban land prices, pushing lower-income groups to the edge of cities, where unplanned and poor public services are provided. Cities experiencing higher levels of globalization seem to make the economic gap between the rich and the poor wider. The primary objective of this study is to examine how globalization may affect cities and the urban poor; it mainly focuses on the relationship between the degree of globalization and the expansion of the urban poor in the U.S. metropolitan areas from 1969 to 2009. This study helps understand the relationship between globalization and urban poverty. Globalization will be measured in terms of the ratio of exports to imports. The urban poor will be measured by the inequality concept that is defined as the ratio of labor-intensive income to total government expenditure. The effect of globalization to the urban poor will be tested using multilevel linear models. For the model analysis, the historical data sets available from the Bureau of Economic Analysis (BEA) from 1969 to 2009 for the U.S. metropolitan statistical areas will be used. Expected outcomes from this study involve (1) whether or not globalization has influenced on the urban poor of the U.S. and (2) how the urban poor will be affected by the recent economic recession.